An Post reports record operating profit

Profit after tax for the group was €33.2m in 2008, which marks its fifth consecutive profitable year.

However, mail volumes fell 2pc in 2008 compared to the year previous, which was reflected in a 2.9pc fall in turnover (€26m) to €850m. 

Over the past five years An Post has “achieved a €75m turnaround in group operating profit while tightly controlling costs, driving up quality of service and managing significant growth in mail volumes for most of this period”, the group said in a statement. 

According to the group, An Post’s retail business performed “very strongly” in 2008, with significant growth in financial services products and a steady increase in social welfare payments. 

Commenting on the 2008 performance after the company’s AGM at the GPO, An Post chairman, John Fitzgerald, said: “A most acceptable operating profit was achieved on the back of tight cost control in every aspect of the business. 

“This prudent approach must continue as we are now in a radically different economic environment, and there is only one certainty for An Post – that is the imperative to continue to transform the business into an entity that can remain viable in a competitive market.  That task must remain our central focus as we move towards 2011, when the postal market will be open to full competition.

“During 2008, a number of initiatives illustrated the company’s strategic focus on broadening its revenue base, including an increased emphasis on serving the specific delivery needs of online and catalogue retailers and customers; the expansion of financial services offerings such as banking and insurance through Postbank; and the announcement of a Mobile Virtual Network Operator (MVNO) partnership with Vodafone to go live later this year,” he added.